TCR_Public/001023.MBX              T R O U B L E D   C O M P A N Y   R E P O R T E R

                 Monday, October 23, 2000, Vol. 4, No. 207
  
                                Headlines

AUTOMOTIVE SERVICE: Negotiations Stumble & Push Company into Chapter 11
BIG PARTY: Asks for Extension of Exclusive Period through March 23, 2001
CONTIFINANCIAL CORP: Judge Gonzalez to Consider Disclosure Statement Nov. 8
CONTIMORTGAGE HOME: S&P Lowers Equity Loan Pass-Through Certificate Ratings
CREDIT SUISSE: Fitch Affirms Commercial Mortgage Certificate Ratings

FAMILY HEALTH: Ventura County Maimed As Largest Health Group Dwindles
FILENE'S BASEMENT: Court Confirms Apparel Retailer's Plan of Liquidation
FLORU ENTERPRISES: U.S. Trustee to Convene Meeting of Creditors on Nov. 3
FRIENDLY ICE CREAM: Moody's Downgrades $320 Million Debt Securities Ratings
GEAC COMPUTER: Canadian Software Firm Sends 500 Workers Home to Cut Costs

GENESIS/MULTICARE: MultiCare Sells Only Remaining Ohio Facility
GENEVA STEEL: Confirmation Hearing to Commence Thursday Afternoon
GLOBAL TISSUE: Court Fixes November 6 Deadline for Filing Proofs of Claim
HARNISCHFEGER INDUSTRIES: Beloit Rejects Agreement with Proctor & Gamble
HEILIG-MEYERS: Chapter 11 Proceedings Further Delays Second Quarter Results

IMPERIAL CREDIT: Moody's Lowers Senior Debt to Caa1 & Says Outlook Negative
IMPERIAL HOME: Creditors & Lenders Support Exclusivity Extension to Dec. 18
JIM L. SHETAKIS: Case Summary and 20 Largest Unsecured Creditors
LAIDLAW, INC.: Creditors Agrees Transportation Firm To Borrow $275 Million
LAMONTS APPAREL: Confirmation Hearing Going Forward on Nov. 6 in Seattle

LAROCHE INDUSTRIES: Asks Delaware Court to Set December 22 Claims Bar Date
MEDICAL RESOURCES: Disclosure Statement Hearing Adjourned to Nov. 16, 2000
MOBILE ENERGY: Disclosure Statement Draws Fire from Major Creditor
NATG HOLDINGS: Fitch Maintains B Rating on 12.75% Senior Subordinated Notes
NATIONAL ENERGY: Announces NEGI As New Trading Symbol & CUSIP No. 635812209

O-J TRANSPORT: Court Forces Transportation Firm To File for Bankruptcy
ONYOURSIDE.COM: Huge Claims + Lawsuits + Poor Sales = Chapter 11
OWENS-ILLINOIS: Fitch Maintains BBB- Rating on Senior Unsecured Notes
OWENS CORNING: U.S. Trustee Appoints Two Official Creditors' Committees
OWENS CORNING: Obtains Authority To Pay Pre-Petition Tax Obligations

PAGING NETWORK: Metrocall Objects to Extension of Time to File Schedules
PRO AIR: General Motors and DaimlerChrysler Added To Secured Creditors List
QUORUM HEALTH: Moody's Places Debt Ratings on Review for Possible Downgrade
ROBERDS, INC.: Ohio Court Extends Exclusive Period through December 16
SATURN PUB: Case Summary and 18 Largest Unsecured Creditors

SERVICE MERCHANDISE: Subleasing Stores To Bed, Bath And Beyond
SUNTERRA CORP: PPM Ventures Submits $75M Offer for European Unit
TEU HOLDINGS: Creditors' Committee Taps Brown & Wood as Counsel
VIDEO UPDATE: Rental Chain Considers Selling Off 119 Retail Stores
WASTE MANAGEMENT: Signs Cooperative Research & Development Pact With EPA

WEBVAN GROUP: Online Retailer in California In a Financial Squeeze

* Bond pricing for the week of October 23, 2000

                                *********

AUTOMOTIVE SERVICE: Negotiations Stumble & Push Company into Chapter 11
-----------------------------------------------------------------------
Automotive Service Centers Inc., the Sarasota Herald-Tribune reports, filed
for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code.
What pushed the filing was due to its failure to negotiate with Midas
Int'l. and Amresco Commercial Finance for an out-of-court restructuring of
its existing debts. According to a company statement, in spite of the
filing, the Midas stores in Manatee, Sarasota and Charlotte will not cease
to operate. Automotive President, Lonnie Orns says that it was also about
its low sales that caused the filing. "It became clear that filing under
Chapter 11 would allow us to continue to operate and protect the jobs of
our 325 employees while we consider a strategic alternative," Orns added.

Over 45 years now that the Orns family founded the first Florida Midas in
St. Petersburg. Former chairman and CEO, Steve Uiterwyk formed Automotive
Service Centers in July of 1998 to consolidate Midas franchise shops. Then,
Uiterwyk acquired 63 locations throughout Florida, including 36 shops owned
by the Orns. Together with Manatee, Sarasota and Charlotte locations, the
chain has stores in Alachua, Broward, Citrus, Clay, Collier, Duval,
Hernando, Hillsborough, Lake, Lee, Marion, Palm Beach, Pasco, Pinellas,
Polk, St. Johns and St. Lucie counties, as reported by Eileen Kelley of the
Herald.


BIG PARTY: Asks for Extension of Exclusive Period through March 23, 2001
------------------------------------------------------------------------
The Big Party Corporation asks for an extension of its exclusive periods to
file a plan of reorganization and solicit acceptances thereto. A hearing
will be held on the motion before the Honorable Gregory M. Sleet, US
District Court Judge, Wilmington, DE on October 20, 2000 at 2:00 PM.

The debtor seeks to extend its exclusive periods to file a plan of
reorganization for approximately 90 days, through and including January 23,
2001, and extending the debtor's exclusive periods to solicit acceptances
to any such plan for approximately ninety days, through and including March
23, 2001.

On August 8, 2000, the court approved a comprehensive asset acquisition
proposal submitted by a joint venture formed by iParty Retail Store Corp.,
Hilco Trading Co., Inc. and The Ozer Group, LLC, which provides for iParty
to acquire all of the e debtor's assets at 33 retail locations and at the
debtor's existing corporate officers and Hilco and Ozer, as joint
venturers, shall serve as the debtor's exclusive agent to conduct store
closing sales at 21 locations not being acquired by iParty and market the
debtor's leaseholds for the Closing Locations are governed by the terms of
a designation rights agreement made a part of the Agency Agreement with the
debtor retaining a residual interest in the net proceeds of any sales
While the debtor has worked hard throughout the first four months of this
case, it must now continue plan discussions with the Committee.


CONTIFINANCIAL CORP: Judge Gonzalez to Consider Disclosure Statement Nov. 8
---------------------------------------------------------------------------
The hearing to consider approval of the Disclosure statement of
Contifinancial Corporation et al. will be held before the Honorable Arthur
J. Gonzalez, US Bankruptcy Court, Southern District of New York, on
November 8, 2000 at 11:00 AM. October 31, 2000 at 5:00 PM is fixed as the
last date for filing written objections or proposed modification s to the
Disclosure statement. Dewey BALLANTINE LLP and Togut, Segal & Segal LLP
represent the debtors.


CONTIMORTGAGE HOME: S&P Lowers Equity Loan Pass-Through Certificate Ratings
---------------------------------------------------------------------------
Standard & Poor's lowered its ratings on seven classes of ContiMortgage
Home Equity Loan Trust (Conti) home equity loan pass-through certificates
from a total of five separate series (see list).

The ratings were lowered to reflect distinctly increased risk profiles due
to monthly net losses consistently outpacing monthly excess interest
production. When monthly net losses consistently exceed monthly excess
interest production the resulting erosion of credit support can at times
significantly increase the risk of defaulted payment obligations to
certificate holders.

Over the last quarter, monthly net losses averaged approximately 1.9 times
(x) monthly excess interest production in the 11 separate loan groups each
backing one or (in the case of series 1997-3, loan group one) two of the
certificate classes with lowered ratings. As a result, vercollateralization
in the 11 loan groups was reduced to an average of 0.65% of the original
collateral balance from an average 0.81%, an average reduction of 16 basis
points (bps).

Should this overcollateralization erosion rate continue, in some cases
overcollateralization could be fully eroded within 10-12 months. By
contrast, the average monthly net loss to excess interest ratio is 0.96x
for the loan group backing the certificates with raised ratings.

The current overcollateralization balance is zero for series 1997-3, loan
group one. Consequently, since losses have exceeded excess interest in each
month since overcollateralization was fully eroded in July 2000, class B-1F
has realized principal reductions due to losses in each of the past three
months.

Standard & Poor's has determined that it is highly unlikely that class B-1F
will recover 100% of the losses allocated to its balance. Further, as the
volume of losses allocated to class B-1F grows, the likelihood that class
M-2F will have to absorb losses also increases. Should current performance
trends continue, Standard & Poor's projects that class M-2F will also have
losses allocated to its balance.

The 11 loan groups backing classes with lowered ratings have an average
total delinquency rate of approximately 25.68%, with approximately 1,369bps
of that total delinquency rate identifying serious delinquencies (that is,
90-plus days, foreclosure, and REO). Cumulative realized losses in the 11
loan groups account for an average of approximately 3.13% of their
respective initial collateral balances.

The entire universe of fixed-rate Conti mortgage pools backing certificates
rated by Standard & Poor's have an average total delinquency rate of
approximately 16.44%, with approximately 822bps of that total delinquency
rate identifying serious delinquencies (that is, 90-plus days, foreclosure,
and REO). Cumulative realized losses account for an average of
approximately 2.97% of the initial collateral balance.

The adjustable-rate universe of Conti mortgage pools backing certificates
rated by Standard & Poor's have an average total delinquency rate of
approximately 26.37%, with approximately 1,347bps of that total delinquency
rate identifying serious delinquencies (that is, 90-plus days, foreclosure,
and REO). Cumulative realized losses account for an average of
approximately 2.94% of the initial collateral balance. The adjustable-rate
Conti pools are generally less seasoned than the fixed-rate pools; Conti's
adjustable-rate collateral is only present in Conti pools securitized from
1995 forward.

At issuance, the mortgage collateral backing Conti certificates generally
consisted of fixed-rate and adjustable-rate subprime home equity loans
secured by first or second liens on owner-occupied, single-family detached
residential properties. The percentage of the initial pool secured by
second liens was generally less than 10%. The fixed-rate Conti pools
initially consisted of 15- to 30-year loans, with a 15-year balloon loan
component usually accounting for approximately 30%-45% of the pool.

The adjustable-rate pools initially consisted of 30-year loans, which in
many cases carried a fixed rate for the first two to three years before
converting to an adjustable-rate mode. Balloon loans generally were not
included in the adjustable Conti rate pools.

On May 17, 2000, ContiMortgage Corp. along with 18 of its affiliates filed
a petition for relief under Chapter 11 of the United States Bankruptcy
Code. Also on May 17, 2000, ContiMortgage Corp. filed a motion with the
United States Bankruptcy Court for approval of a sale pursuant to an asset
purchase agreement by and between ContiMortgage Corp. and Fairbanks Capital
Corp. Subsequently, Fairbanks Capital, a Standard & Poor's approved
servicer with a Strong ranking, has acquired ContiMortgage Corp.'s entire
subprime servicing portfolio and operations, which includes the servicing
rights and obligations related to the collateral-backing certificates
addressed above, Standard & Poor's said.

      OUTSTANDING RATINGS LOWERED

           ContiMortgage Home Equity Loan Trust

                Series   Class   To   From
                ------   -----   --   ----
                1997-3   M-2F    BB   A-
                1997-3   B-1F    D    CCC
                1997-3   B-1A    B    BB
                1997-4   B       B    BBB-
                1997-5   B       BB   BBB-
                1998-1   B       B    BBB-
                1998-2   B       BB   BBB-


CREDIT SUISSE: Fitch Affirms Commercial Mortgage Certificate Ratings
--------------------------------------------------------------------
Credit Suisse First Boston Mortgage Securities Corp./DLJ Mortgage
Acceptance Corp.'s commercial mortgage pass-through certificates, series
1995- T1, are affirmed by Fitch as follows: the $5.8 million class D at
`BB-' and the $11.1 million class E at `B-'. Fitch does not rate the class
F certificates. The affirmations follow Fitch's annual review of the
transaction, which closed in Feb. 1995.

The trust certificates represent the entire ownership interest in a trust
fund, whose primary asset is the multifamily mortgage pass-through
certificates, series 1994- MF1 class B certificates. The class B
multifamily mortgage pass-through certificates provide the credit
enhancement for the class A multifamily mortgage pass-through certificates,
series 1994-MF1. DLJ Mortgage Acceptance Corp. and CS First Boston Mortgage
Securities Corp. were the depositors of 71 mortgage loans to the trust, who
issued the class A multifamily mortgage pass-through certificates, series
1994- MF1 and two interest only certificates. Those class A and interest
only certificates are the primary assets of the Fannie Mae multifamily
REMIC trust 1994-M5. The Federal National Mortgage Association guarantees
timely payment of interest and ultimate payment of principal on the
guaranteed ACES REMIC pass-through certificates, Fannie Mae multifamily
REMIC trust 1994-M5.

The class A and class B multifamily mortgage pass-through certificates,
series 1994-MF1 were originally collateralized by 71 mortgage loans secured
by multifamily properties. Currently, there are 42 loans remaining, as 29
have paid off. Currently, the largest geographic concentrations are in
Indiana (19%), Florida (12%) and Nevada (11%). To date, the trust has
suffered realized losses totaling $195,232.

As of the Sept. 2000 distribution date, the pool's aggregate certificate
balance was $141.9 million, showing a 35.9% reduction since closing. There
are currently three specially serviced loans, representing 6.5% of the
pool. The parent of the borrower on these loans, Grand Court Lifestyles,
Inc., filed for bankruptcy in March of 2000. However, the loans remain
current. One additional loan (8.0%) is over 30-days delinquent. The Master
Servicer, GMAC Commercial Mortgage, received year-end (YE) 1999 financial
statements for 39 loans, representing 91% of the outstanding balance. The
weighted average debt service coverage ratio (DSCR) for YE 1999, using
borrower reported financials, is 1.60 times (x) up from 1.57x as of YE 1998
and 1.36x at origination. Two loans, representing 3.9% of the pool, had YE
1999 DSCR's below 1.0x.

Fitch will continue to monitor this transaction, as surveillance is
ongoing.


FAMILY HEALTH: Ventura County Maimed As Largest Health Group Dwindles
---------------------------------------------------------------------
Unable to cope with $6 million in debt, Ventura County's largest medical
group will lay off 300 of its employees and will leave 135,000 patients to
seek other health insurers, The Times Mirror reports.  "It's a very sad day
for our patients and for health care in Ventura County overall," said Mari
Zag, spokeswoman for the Simi Valley-based Family Health Care Medical
Group. Not just patients, but also 200 doctors and 700 specialists are
affected.  Zag said that what finally pushed the health group overboard was
when two large health plans were canceled and two others either failed to
remit October payments or underpaid the amount due.

The medical group in California operates four clinics and acts as a
mediator between a network of physicians and HMO's. The Times added that
Family Health's largest contractors were California Care Blue Cross, with
about 33,000 patients, and Health Net and PacifiCare, each with more than
20,000 patients. The group had contracts with 16 health plans, including
Cigna, Aetna U.S. Healthcare, Blue Shield, Maxicare, and three senior-care
programs.


FILENE'S BASEMENT: Court Confirms Apparel Retailer's Plan of Liquidation
------------------------------------------------------------------------
According to the docket, the U.S. Bankruptcy Court confirmed Filene's
Basement Corp.'s Amended Joint Plan of Liquidation, filed June 16, 2000.
The Company's related Disclosure Statement received Court approval of
September 5, 2000. Filene's has been operating under Chapter 11 protection
since August 23, 1999. (New Generation Research, Inc. 19-Oct-00)


FLORU ENTERPRISES: U.S. Trustee to Convene Meeting of Creditors on Nov. 3
-------------------------------------------------------------------------
Floru Enterprises, Inc. filed a Chapter 11 bankruptcy case on September 21,
2000. Schuyler Glenn Carroll & WOLOSKY LLP, New York represents the debtor.
A meeting of creditors is set for November 3, 2000 at 2:30 PM, Office of
the US Trustee, 80 Broad Street, New York, NY.


FRIENDLY ICE CREAM: Moody's Downgrades $320 Million Debt Securities Ratings
---------------------------------------------------------------------------
Moody's Investors Service downgraded all ratings of Friendly Ice Cream
Corporation. Ratings lowered include the $120 million senior secured bank
facility to B2 from B1 and the 10.5% $200 million senior unsecured notes
due 2007 to B3 from B2. The senior implied rating fell to B3 from B2 and
the issuer rating to B3 from B2. The rating outlook is stable.

The ratings downgrade was prompted by expectations that debt protection
measures will remain weak over the intermediate term. We anticipate that
leverage will decline as debt is paid down with proceeds from the sale of
non-productive assets. However, we also believe the company's liquidity
position does not allow for unexpected occurrences and that the cushion of
bank covenant compliance will be tight.

The ratings reflect the intense competition in the family-style segment of
the restaurant industry, the company's leveraged financial condition, the
company's dependence on a few commodities such as cream and sugar, and the
seasonality of the ice-cream business. The ratings also consider the
uncertainty surrounding the transformation under way in which the company
intends to refranchise or close about 310 of the weak or non core-market
stores.

However, the ratings consider the company's well established position in
the Northeast, the strength of the "Friendly's Ice Cream" brand name, newly
designed strategies to hedge spikes in cream prices, and the company's
ownership of a considerable portion of its restaurant real estate.

The B2 rating on the senior secured bank facility ($55 million revolver
facility, $15 million letter of credit facility, and $50 million of
unamortized term loans) considers that this debt is secured by
substantially all of the company's assets and the shares of subsidiaries.
We believe that the collateral provided by ownership of a significant
portion of restaurant real estate would provide good coverage in a
distressed scenario.

The B3 rating on the senior unsecured notes considers that this debt is
guaranteed by the company's subsidiaries, but the notes are effectively
subordinated to a significant amount of secured debt. However, value of
real estate beyond the bank loan should offset loss in a distressed
scenario.

The stable rating outlook considers our expectation that divestiture of
many of the weaker performing stores will stabilize operating income.
Through using excess cash to pay down the term loans ahead of schedule, we
expect that leverage could begin to improve over the intermediate term.
Nevertheless, with approximately $20 million of revolver availability, we
believe that the company could face pressure over the next six months in
carrying out necessary capital expenditures and making interest payments if
the seasonal winter revenue decline is more severe than usual and asset
sales are delayed.

Friendly's intends to substantially reduce the number of company-operated
stores over the next 2 years. 150 of the non-contributing stores are to be
closed (100 already closed) and 161 stores will be sold to franchisees.
With fewer stores that generate a higher absolute level of cash flow and
the use of asset sale proceeds to pay down bank debt, we anticipate that
the company can moderately decrease leverage.

Friendly's business is concentrated during the summer season for several
reasons. First, most Friendly's restaurants are in the northern part of the
country where restaurant visits decline during winter months of inclement
weather. Second, sale of a disproportionate share of higher-margin ice
cream desserts during the summer months intensifies the seasonal effect.
Same store sales comparisons for the summer of 2000 were below prior years
because of a cool summer in the Northeast and lack of new product
introductions. We believe that the company's revolver availability is
sufficient to accommodate normal seasonal fluctuations, but the liquidity
cushion will not stretch to cover a significant abnormal event.

The company paid down debt by $10 million over the first 6 months of the
year using proceeds from the sale of restaurants to franchisees. Adjusted
debt to EBITDAR modestly decreased to 5.6 times on July 2, 2000 versus 5.8
times on January 2, 2000 as the company incurred costs to close down
restaurants and reduce administrative overhead. EBITDA covered interest
expense by 1.9 times for the 12 months ending July 2 (compared to 1.9 times
for the year ending January 2), while EBITDA just covered both interest
expense and capital expenditures. Going forward, we anticipate that the
company will continue paying down debt with proceeds from the sale to
franchisees of additional restaurants and that adjusted leverage will fall
to near 5 times.

Friendly Ice Cream Corporation, headquartered in Wilbraham, Massachusetts,
owns 486 and franchises 114 Friendly's family-style restaurants and retails
ice cream through 3500 supermarkets in the Northeast.


GEAC COMPUTER: Canadian Software Firm Sends 500 Workers Home to Cut Costs
-------------------------------------------------------------------------
Canada's largest software company, The Globe and Mail reports, currently
faces an accounting charge of $28 million for its second quarter and is
sending home 500 workers.  Geac Computer Corp. Ltd. is also up for grabs
for anyone to purchase. "We looked at this business by business because
some of our businesses have a real future to them," William Nelson, Geac's
chairman and interim chief executive officer, said during a conference
call. "We want to nurture them. Some of our businesses, we're milking them
anyhow, and since they're not getting anywhere, we might as well milk even
more. And a couple we probably should shoot - gracefully of course."

Third quarter results will improve due to the restructuring and boost of
software sales, according to John Caldwell, interim president and chief
operating officer. "With the steps we've taken, we're confident that we'll
restore the company's profitability, enhance competitiveness, and adjust
our business to the realities of the markets we face," Mr. Caldwell added.
The layoffs consist mainly in executive positions and professional services
experts from JBA Holdings PLC, acquired by Geac in September, 1999. Geac
plans to finish the layoffs next month. The $8 million charge the company
faces is due to the lawsuit at JBA during the second quarter.

CEO Douglas Bergeron left the Toronto-based Geac, due to its ground deep
stock price grazed by its distressed financial state. Geac sells enterprise
resource planning tools that help firms integrate planning, marketing and
human resources files.


GENESIS/MULTICARE: MultiCare Sells Only Remaining Ohio Facility
---------------------------------------------------------------
Prior its Chapter 11 petition date and as part of its business strategy to
focus on concentrated geographic areas and reduce debt obligations to
prepetition secured lenders, The MultiCare Companies, Inc., made a deal to
sell all of its Ohio Facilities to Trans Healthcare pursuant to an Asset
Purchase Agreement, dated May 12, 2000 with a subsidiary of Trans
Healtheare, Inc.

The sale of all the Ohio Facilities was consummated by the Closing Date of
June 1, 2000, except for the Holgate Facility located at 600 Brown Avenue
in Holgate, Ohio.

Pursuant to the First Addendum to Asset Purchase Agreement, dated May 31,
2000, the parties agreed that the closing on the sale of the Holgate
Facility would occur on a later date in view of certain unfavorable
consequences under relevant state law if the Debtors terminated all of
their operations within Ohio at one time. At the time of the closing of
the Asset Purchase Agreement, the parties contemplated that the Holgate
Facility would he transferred to Trans Healthcare by August 31, 2000.

In connection with the Addendum, the Debtors also entered into a
Management Agreement, dated June 1, 2000, pursuant to which, among other
things, Trans Healthcare assumed management responsibility for the Holgate
Facility in exchange for a management fee equal to the facility's net
earnings before interest, depreciation, taxes and amortization during the
period of Trans Healthcare's management of the Holgate Facility.
Essentially, under the Management Agreement, Trans Healthcare is to incur
all costs associated with the operation of Holgate, and is to receive all
of its benefits in exchange.

The Debtors received approximately $36.5 million in net proceeds upon
consummation of the Asset Purchase Agreement. The Debtors used
approximately $33 million of these proceeds to pay down their obligations
under their prepetition secured working capital facility. The balance of
the proceeds were used to fund certain escrows and other closing
obligations.

With the lion's share of the transactions contemplated and having
effectively ceased their Ohio operations, the Debtors believe they are in
no position to operate the Holgate Facility at any level of efficiency. In
fact, "the retention of ownership and management control by the Debtors'
of a single facility located outside the Debtors' areas of operation would
be foolish," the Debtors tell the Judge.

The Debtors believe that the Holgate Purchase Price of $146,570 as defined
in the Addendum is fair and reasonable, and was agreed upon by both
parties. The Agreements were each negotiated in good-faith, and at arm's
length. Trans Healthcare is unaffiliated with any of the Debtors, the
Genesis Debtors, or any of their respective officers, directors, or
subsidiaries.

By this Motion, the Debtors sought and obtained the Court's authority to
consummate the Holgate Facility sale, free and clear of any and all liens,
encumbrances or interests, by: (a) assuming, and assigning to Trans
Healthcare, the Lease, pursuant to section 365(a) and (b) of the
Bankruptcy Code; and (b) transferring the other assets at the Holgate
Facility to Trans Healthcare and paying Trans Healtheare's outstanding
management fees, pursuant to section 363(b)(1) of the Bankruptcy Code.
(Genesis/Multicare Bankruptcy News, Issue No. 5; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


GENEVA STEEL: Confirmation Hearing to Commence Thursday Afternoon
-----------------------------------------------------------------
A hearing to consider confirmation of the First Amended Plan of
Reorganization jointly proposed by the debtor and the Official Committee of
Bondholders has been continued to October 26, 2000 at 2:30 PM, before the
Honorable Glen E. Clark, US Bankruptcy Court, District of Utah. If
necessary, the hearing will be continued on October 27, 2000.


GLOBAL TISSUE: Court Fixes November 6 Deadline for Filing Proofs of Claim
-------------------------------------------------------------------------
Pursuant to an order of the US Bankruptcy Court, District of Delaware,
dated September 28, 2000, all creditors of the debtor, Global Tissue LLC,
holding claims of any kind against the debtor that arose on or before the
Petition Date are required to file a proof of claim on or before 4:00 PM on
November 6, 2000.


HARNISCHFEGER INDUSTRIES: Beloit Rejects Agreement with Proctor & Gamble
------------------------------------------------------------------------
Beloit and Proctor & Gable Paper Products Company are parties to a 1998
Lease Agreement under which:

    (a) P&G financed the cost of certain non-exclusive paper making
        machinery and equipment for Beloit's Pilot Testing Facility in
        Rockton, Illinois;

    (b) P&G leased to Beloit for installation at the Facility certain
        exclusive paper-making machinery and equipment; and

    (c) Beliit agreed to make the Facility and Equipment available to P&G
        for up to 50 days per year for P&G's own research and development
        work.

At the end of the 10-year term, Beloit was supposed to buy all of the
equipment from P&G. Because Beloit has sold almost everything it owned to
Valmet, that won't happen. Accordingly, by this Motion, Beloit sought and
obtained an order, pursuant to 11 U.S.C. Sec. 365, authorizing it to
reject the Lease Agreement. (Harnischfeger Bankruptcy News, Issue No. 28;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


HEILIG-MEYERS: Chapter 11 Proceedings Further Delays Second Quarter Results
---------------------------------------------------------------------------
According to its recent SEC filing, Heilig-Meyers Co. expects its operating
results to dive by a significant margin, Dow Jones reports. The Richmond-
based furniture retailer states that due to its Chapter 11 filing, it can't
come up with a correct estimate for its second quarter results. Due to its
recent closure of 302 stores and its new in-house installment credit
program, it further complicates to derive a reasonable estimate.

Heilig-Meyers filed for bankruptcy protection under Chapter 11 on Aug. 16
in Richmond. The retailer posted assets of $1.35 billion and debts of
$836.3 million as of May 31.


IMPERIAL CREDIT: Moody's Lowers Senior Debt to Caa1 & Says Outlook Negative
---------------------------------------------------------------------------
Moody's Investors Service downgraded the credit ratings of Imperial Credit
Industries, Inc. (senior debt to Caa1 from B3). The ratings outlook remains
negative. The primary reasons for the downgrade are the decline in the
company's cash flow from operations and the deterioration in its asset
quality.

Imperial Credit has substantially narrowed its business focus by exiting
various businesses, Moody's said. In a major strategic change, the company
recently decided to wind down its leasing group, which in Moody's opinion
has been one of its two main profit centers. According to the rating
agency, ICII's principal profit center going forward will be Coast Business
Credit, its middle-market commercial lending operation.

These steps have been prudent actions to improve the company's
profitability and asset quality, Moody's said. However, these actions show
that ICII has not been able to achieve sufficient scale and earnings power
in various businesses that it had targeted. ICII will be a smaller
enterprise going forward, and its cash flow from operations will most
likely be reduced.

Asset quality has deteriorated in the commercial lending businesses,
according to Moody's. In August 2000 Coast increased its loan loss reserves
substantially, relative to its size, under pressure from state and federal
banking regulators. Management has hired new credit officers and risk
management officers to address the problems, which is commendable. However,
in view of the issues concerning Coast's previous credit and reserving
practices, it is possible that additional nonperformers could arise, the
rating agency added.

Asset sales generate a substantial component of cash flow. In particular,
the acquisition of the Imperial Credit Commercial Mortgage Investment
Corp., a REIT, has been a major source of cash flow, as ICII liquidates the
REIT's assets. The company's ability to complete on a timely basis the
asset sales that it contemplates will be an important factor in Moody's
evaluation of the company's creditworthiness in the future.

The negative outlook reflects the uncertainty regarding the company's
profitabilty and asset quality in the future.

The following ratings are affected:

    Imperial Credit Industries, Inc.

      a) senior debt to Caa1 from B3;

      b) preferred stock rating to "caa" from "b3".

Imperial Credit Industries, Inc., headquartered in Torrance, California,
had shareholders' equity of $165 million as of June 30, 2000. For the six
months ending June 30, 2000, the company reported a loss of $35 million.


IMPERIAL HOME: Creditors & Lenders Support Exclusivity Extension to Dec. 18
---------------------------------------------------------------------------
The Imperial Home Decor Group Inc. said that its bank lenders and the
Official Committee of Unsecured Creditors in the company's chapter 11 case
have indicated their support for the company's request to extend the period
in which IHDG has the exclusive right to file and advance a plan of
reorganization in its chapter 11 case.

IHDG filed an application with the United States Bankruptcy Court for the
District of Delaware to extend exclusivity on October 10, 2000. A hearing
to consider the application is scheduled for October 26, 2000.

Douglas R. Kelly, president and chief executive officer of IHDG, said that
the company and its creditors are continuing discussions and are focused on
developing a stand-alone plan of reorganization.

"After careful consideration of all of our options, the company and its
principal creditor constituencies have concluded that a potential sale of
the company to a third party -- as noted in our application for an
extension of exclusivity -- is not in anyone's best interest. Instead, all
parties agree that IHDG should emerge on a stand-alone basis," said Kelly.
"The sole remaining issue under discussion involves limited aspects of the
anticipated capital structure of the company upon emergence from chapter
11. We remain confident that this issue can be resolved in the near
future."

Kelly said the company remained committed to formulating and filing a
reorganization plan and emerging from chapter 11 as quickly as possible.
Upon extension of its exclusivity period, the company would be granted
another 60 days, until December 18, 2000, in which only it may file a plan
of reorganization, and another 60 days after that date, until February 16,
2001, during which only it can solicit creditors to vote for a plan of
reorganization.

Imperial Home Decor Group is the world's largest designer, manufacturer and
distributor of residential wallcovering products. IHDG also markets
commercial wallcoverings and is a premiere supplier of pool liners through
the Vernon Plastics operating division. Headquartered in Cleveland, Ohio,
IHDG supplies home centers, national chains, independent dealers, mass
merchants, design showrooms and specialty shops. Product lines include the
Imperial, Katzenbach & Warren, Albert Van Luit, Sterling Prints, Imperial
Fine Interiors, Sunworthy and Colorfields by Sunworthy brand names. The
Company was created in 1998 through the merger of Imperial Wallcoverings
and Borden Decorative Products. In 1999, Imperial Home Decor Group had net
sales of $411.7 million.


JIM L. SHETAKIS: Case Summary and 20 Largest Unsecured Creditors
----------------------------------------------------------------
Debtor: Jim L. Shetakis Distributing Co.
         3400 Western Avenue
         Las Vegas, NV 89109

Chapter 11 Petition Date: October 18, 2000

Court: District of Nevada

Bankruptcy Case No.: 00-17939

Judge: Linda B. Riegle

Debtor's Counsel: Timothy S. Cory, Esq.
                   Timothy S. Cory & Associates
                   3016 West Charleston Blvd. Suite 210
                   Las Vegas, NV 89102

Total Assets: $ 1 Million Above
Total Debts : $ 1 Million Above

20 Largest Unsecured Creditors:

H&J Trading Co.                                              $ 122,553

Pacific Choice Brands                                         $ 99,743

Costa Macaroni MFG. Co.                                       $ 98,287

Ventura Foods, LLC                                            $ 62,084

Dot Foods, Inc.                                               $ 51,217

Nabisco, Inc.                                                 $ 42,207

Heinz Service Company                                         $ 35,762

Premier Foodservice                                           $ 39,852

American Roland Food Corp                                     $ 35,177

Portion Pac, Inc.                                             $ 33,524

Penske Trust Leasing Co.                                      $ 32,397

Vie De France Yamazaki                                        $ 29,944

Papercraft Los Angeles                                        $ 29,559

Giulianos Speciality Foods                                    $ 28,241

Rod's Food Products                                           $ 27,653

Roger A. Brown & Company                                      $ 26,773

Windsor Food Grouop                                           $ 25,598

General Mills, Inc.                                           $ 25,548

Premier Foodservice                                           $ 24,537

Pactiv (Tenneco Pkg)                                          $ 24,261


LAIDLAW, INC.: Creditors Agrees Transportation Firm To Borrow $275 Million
--------------------------------------------------------------------------
According to the National Post Online, Laidlaw, Inc., got approval from its
creditors to borrow $275 million to keep maintain the transportation
company's liquidity.  "Based on our preliminary tally, we believe we will
receive the required consents from our bondholders to finalize both of the
financing arrangements," said Stephen Cooper, Laidlaw vice-chairman and
chief restructuring officer.  "These facilities are designed to meet
Laidlaw's operating companies' immediate working capital needs.  With these
facilities in place, we would be able to focus on resolving Laidlaw's long-
term capital structure and liquidity issues."  


LAMONTS APPAREL: Confirmation Hearing Going Forward on Nov. 6 in Seattle
------------------------------------------------------------------------
Lamonts Apparel, Inc. filed a Chapter 11 plan and Dislcosure Statement. The
court entered an order on September 18, 2000 approving the adequacy of the
Disclosure Statement. The hearing to consider Confirmation of the plan
shall be held on November 6, 2000 at 11:00 AM before the Honorable Thomas
T. Glover, US Bankruptcy Court, Western District of Washington, Seattle.

The plan provides for the liquidation of all of the debtor's assets and the
distribution of the proceeds to holders of allowed claims in cash. The
debtor employed The Buxbaum Group as its reorganization consultant. The
Buxbaum Group is to receive as compensation a percentage of the
distribution to be made to general unsecured creditors. The debtor
estimates that the payment to The Buxbaum Group will be approximately
$650,000. Class 4 - unsecured claims, are impaired under the plan. The
debtor estimates that the aggregate outstanding amount of allowed claims in
Class 4 as of the Effective Date, will be in the range of $33.3 million to
$43.2 million.

On or about May 16, 2000, the Bankruptcy Court entered its order approving
the sale of the debtor's real estate assets to Gottschalks for a purchase
price equal to $21.8 million in cash and the assumption of certain
liabilities. The real estate assets sale closed on July 24, 2000. Inventory
liquidation sales of the debtor's inventory generated approximately $36.4
million Lamonts shall be dissolved as of the Effective Date and wound up as
soon as feasible after the Final Decree Date.


LAROCHE INDUSTRIES: Asks Delaware Court to Set December 22 Claims Bar Date
--------------------------------------------------------------------------
LaRoche Industries Inc. and LaRoche Fortier Inc. seek a court order setting
a date to file proofs of claim. Al creditors of the debtors are required to
file a proof of claim on or before 4:00 PM on December 22, 2000. Alston &
Bird LLP, Atlanta, GA. and Young, Conaway Stargatt & TAYLOR LLP,
Wilmington, DE represent the debtors.


MEDICAL RESOURCES: Disclosure Statement Hearing Adjourned to Nov. 16, 2000
--------------------------------------------------------------------------
The U.S. Bankruptcy Court adjourned until November 16, 2000 a hearing to
consider approving the adequacy of Medical Resources, Inc.'s Disclosure
Statement related to its Second Amended Joint Plan of Reorganization, dated
July 10, 2000. The Company has been operating under Chapter 11 protection
since April 7, 2000.(New Generation Research, Inc., 19-Oct-00)


MOBILE ENERGY: Disclosure Statement Draws Fire from Major Creditor
------------------------------------------------------------------
Creditor S.D. Warren Company objects to the Disclosure Statement
accompanying the first amended joint plan of reorganization proposed by
Mobile Energy Services Company, LLC and Mobile Energy Service Holdings,
Inc. and a steering committee for an ad hoc committee formed by certain
bondholders of the debtors.

S.D. Warren complains that the Disclosure Statement fails to address,
classify or propose the treatment for S. D. Warren, a major creditor in the
proceeding. The debtors intend to assume several contracts to which SD
Warren is party, but also indicates that they intend to pursue a plan that
violates or modifies those same agreements, making them unassumable, thus
undermining critical economic components of the very plan they seek to
propose. The Disclosure Statement fails to adequately disclose the numerous
material risks that are inherent in the plan that either individually, and
most assuredly make the plan unconfirmable. The creditor finally states
that the Disclosure Statement contains a large number of inconsistencies
and ambiguities that render the Disclosure statement defective and reflects
an effort that falls far short of the standard required for court approval.


NATG HOLDINGS: Fitch Maintains B Rating on 12.75% Senior Subordinated Notes
---------------------------------------------------------------------------
Fitch has re-assigned a rating to NATG Holdings, LLC's (NATG) $150 million
12.75% senior subordinated notes due 2010 of `B'. In providing the rating,
Fitch considered historical and prospective financial results, management
strategy, and industry conditions. The existing `B+' rating on the notes,
which was pro-forma for, and contingent upon, a $150 million initial public
offering (IPO) of Orius Corp. common shares, has been withdrawn because the
IPO has been indefinitely postponed as a result of current market
conditions. The `BB-' rating on the proposed $285 million credit facilities
(facilities) has also been withdrawn because the consummation of the IPO
was a condition precedent to the closing of the facilities, and the
facilities' rating was also contingent upon and pro-forma for the closing
of the IPO. The Rating Outlook is Stable. NATG is organized as a direct,
wholly owned subsidiary of Orius Corp. (Orius or the Company), a holding
company founded in 1997 to develop a national presence in the
telecommunications and broadband network infrastructure services sector.
Since formation, Orius has grown rapidly via 18 acquisitions and internal
growth. In Dec. 1999, Willis Stein & Partners, management and co-investors
purchased Orius in a leveraged buy-out. As of 6/30/00, NATG had total debt
outstanding of approximately $443.3 million and debt/EBITDA of 3.5 times
(x), (debt excludes $150.7 million of junior subordinated notes issued by
Orius that are pay in kind until 2001 and 40% cash pay starting in 2001).
Pro-forma interest coverage for the last twelve months ended 6/30/00 was
2.5x.

Orius is a national provider of network infrastructure services. Services
include the design, engineering, deployment and maintenance of `internal'
and `external' networks. In the latest twelve months ended June 30, 2000,
internal and external services represented 41% and 59%, respectively, of
$705.6 million in total revenues. Internal services primarily consist of
work performed within the central offices of telecom providers such as re-
wiring to co-locate competitive local exchange carrier (CLEC) equipment for
the regional bell operating companies (RBOCs), installation of digital
subscriber lines and daily maintenance and upgrades of systems. Orius
believes it is the largest independent provider of central office services
in the U.S. The internal services segment also includes interior wiring
services for commercial and governmental customers that are known as
integrated premise services. External services are provided outside the
customer's premise and encompass the design, engineering, deployment and
maintenance of fiber optic, coaxial, and copper networks as well as
internet infrastructure.


NATIONAL ENERGY: Announces NEGI As New Trading Symbol & CUSIP No. 635812209
---------------------------------------------------------------------------
National Energy Group, Inc. (OTC Bulletin Board: NEGI) announces a new
trading symbol and CUSIP number for its common stock.

Effective immediately, the Company's common stock will be traded using the
trading symbol NEGI and CUSIP number 635812209. Trading of the Company's
common stock under its former symbol, NEGXQ, has been discontinued. The new
symbol applies to trading of the Company's recently authorized common stock
pursuant to its Joint Plan of Reorganization (the "Plan") as confirmed by
the United States Bankruptcy Court for the Northern District of Texas,
Dallas Division and effective as of August 4, 2000 (the "Effective Date").
  
Pursuant to the terms of the Plan, each common stock shareholder of record
as of the Effective Date shall retain his/her interest; provided that all
common stock certificates of the Company shall be deemed cancelled and
exchanged by the Transfer Agent for newly issued shares of common stock in
the reorganized Company which shall be issued to common stock shareholders
at a ratio of one (1) share of common stock in the reorganized Company for
every seven (7) shares cancelled as a result of the reorganization. The
Plan further provides that Arnos Corp. (an affiliate of the Company) will
pay an amount of at least $2.0 million to the reorganized Company to
purchase additionally issued shares of common stock such that its ownership
interest in the reorganized Company shall be up to 49.9% of the value of
all issued outstanding stock of the reorganized Company.

The Company's Transfer Agent, Wells Fargo Bank Minnesota, NA, has effected
the reverse split and will commence today the mailing of new certificates
to the Company's common stock shareholders of record as of the Effective
Date representing their post-bankruptcy common equity interest in the
reorganized Company. Upon receipt of the new certificates, each shareholder
is requested to surrender their old certificates to the Transfer Agent. The
new certificates are being issued pursuant to a registration exemption
under Section 1145 of the United States Bankruptcy Code and will include a
restrictive legend mandated by the Plan which prohibits transactions in the
Company's common stock by anyone who is or will become a "5 percent
shareholder" within the meaning of Section 382 of the Internal Revenue
Code. Included with the new certificates to be delivered by the Transfer
Agent is a letter from Mr. Bob G. Alexander, President and Chief Executive
Officer of the reorganized Company, stating that with the implementation of
the Plan, the Company intends to concentrate its efforts on profitability
with the intent of maximizing shareholder value.

The foregoing is presented for summary purposes only and reference is made
to the Company's Joint Plan of Reorganization and applicable Bankruptcy
Court orders for the complete details of the transactions described above.
National Energy Group, Inc. is a Dallas, Texas based independent oil and
gas exploration and production company. The Company's principal properties
are located onshore in Texas, Louisiana, Oklahoma and Arkansas.


O-J TRANSPORT: Court Forces Transportation Firm To File for Bankruptcy
----------------------------------------------------------------------
After losing a recent trial in the U.S. District Court in Chicago, O-J
Transport Co., filed for bankruptcy protection under Chapter 11. Crain's
Detroit Business reports.  Detroit-based O-J was accused of returning
leased truck trailers in poor condition, and was ordered to pay damages.
O-J attorney, Stephen Gross says that the bankruptcy filing on Oct. 3 was
due to the judgment.  Gross further added, O-J lost money the past two
years, the bankruptcy filing wasn't needed then, except now for the $1.5
million judgment.  President Louis James refused to comment when Crain's
reporters called.  


ONYOURSIDE.COM: Huge Claims + Lawsuits + Poor Sales = Chapter 11
----------------------------------------------------------------
Facing claims of $214 million and a chain of class action suits,
OnYourSide.com Inc., filed for bankruptcy protection under Chapter 11, The
Times Union relates.  After its IPO in August, its shares soared from $10
to over $91, giving the company a $1.4 billion market cap.  Investors were
outraged when, with no warning, the shares slumped to a measly $0.73 in
June.  Some 2,750 individual and institutional investors have joined class
action suits pending around the globe.  Attorneys of the upstart Web site
confirmed that the company ceased operations after assets were liquidated
by Grand Wada Bank of Kuala Lumpur, Malaysia.

Chairman Reuben Norvel told reporters that the incapacity of a young firm
to respond rapidly to demands caused the company's blunder. "We had great
hopes for OnYourSide.com," Norvel added. "The time seemed right for a
company that spoke up for consumers, while delivering potent return to
investors. Things just didn't work out."


OWENS-ILLINOIS: Fitch Maintains BBB- Rating on Senior Unsecured Notes
---------------------------------------------------------------------
Fitch has maintained its ratings on Owens-Illinois' (NYSE: OI) senior
unsecured notes and convertible preferred stock following the company's
announcement that it will be taking $798 million in pre-tax charges for
restructuring and capacity realignment as well as to reserve for future
asbestos liabilities. Fitch rates O-I's senior unsecured notes `BBB-` and
its convertible preferred stock `BB'. The Outlook remains Negative.

The negative outlook reflects Fitch's concern regarding the company's
refinancing risk in light of currently unfavorable market conditions, O-I's
imbalance of fixed and floating rate debt, and the increased cost of debt
due to higher interest rates on elevated debt levels. Fitch expects O-I to
convert a meaningful portion of floating rate debt into fixed rate debt,
stagger future debt maturities and successfully refinance its existing bank
credit agreement in order to maintain the current rating. In addition, debt
must be reduced to levels more appropriate for the rating category through
the divestiture of non-core assets and improved operating cash flow.
Alternatively, unsuccessful efforts at obtaining favorable refinancing
terms or an increase in leverage due to share repurchases could lead to a
ratings downgrade.

Following a review of its current and potential asbestos liabilities, O-I
has increased its asbestos reserve. While current liabilities appear to be
manageable, Fitch's concern is heightened by the recent bankruptcy filing
of a major asbestos defendant. While Fitch had expected continuing cash
outflows related to asbestos, future expenditures were expected to decline.
As operating cash flow is directed toward asbestos payments, the time at
which additional free cash flow is available for debt reduction is
postponed.

Positively, O-I continues to see improved glass container market conditions
during the third quarter in certain of its key growth areas. In particular,
South America has shown improved sales and operating income while
operations in Central Europe appeared to be stabilizing. In addition, the
company's plastic packaging segment posted solid unit shipments and
operating income in its custom PET, closure and prescription container
businesses. However, due to unfavorable macroeconomic conditions such as
higher energy costs, unfavorable currency translation and interest rates,
O-I was unable to translate improved conditions into more favorable bottom
line results. However, as a result of the announced restructuring and
realignment program, the company expects a reduction in fixed costs and
improved manufacturing capacity utilization, yielding $50 million in annual
savings.


OWENS CORNING: U.S. Trustee Appoints Two Official Creditors' Committees
-----------------------------------------------------------------------
Patricia A. Staiano, the United States Trustee for Region III, joined by
staff attorneys Frank Perch, Esq., Frederic J. Baker, Esq., Maria
Ginerrakas, Esq., Roberta DiAngelos, Esq., and Mark Kenny, Esq., convened a
meeting of Owens Corning's largest creditors for the purpose of forming one
or more official committees of unsecured creditors in the Debtors' chapter
11 cases.

Mr. Perch welcomed creditors and their professionals, cautioning those in
attendance that this meeting is not a meeting of creditors convened
pursuant to 11 U.S.C. Sec. 341(a).  That meeting--at which a representative
of the Debtors will appear to be examined under oath--will be held on
December 1, 2000, after the Debtors file their Schedules of Assets and
Liabilities and creditors have an opportunity to digest that material.  Mr.
Perch noted that Section 1102 of the Bankruptcy Code directs that
committees should "ordinarily" be composed of the seven largest creditors
willing to serve.  Mr. Perch reminded creditors that the U.S. Trustee for
Region III interprets this as a guideline, which it is inclined to follow,
but not a mandate.

Mr. Perch introduced creditors to the Debtors' lead attorneys from Skadden,
Arps, Slate, Meagher & Flom: David S. Kurtz, Esq., in Chicago; Peter J.
Neckles, Esq., in New York; and Mark S. Chehi, Esq., in Wilmington.

Mr. Kurtz, in turn, introduced creditors to Steven J. Strobel, the Debtors'
Vice President and Treasurer and Norman L. Pernick, Esq., of Saul Ewing,
LLP, serving as co-counsel to the Company.  

Mr. Kurtz reviewed the circumstances that gave rise to the filing of the
Debtors' chapter 11 cases and reminded creditors that (a) Owens Corning is
a leader in the product lines is manufactures, (b) employs 20,000 workers,
(c) operates worldwide and (d) has a fundamentally sound business.  The
goal of these chapter 11 cases, Mr. Kurtz said, is to resolve the asbestos
claims under a plan of reorganization that can be confirmed in as short a
period of time as possible.

Mr. Kurtz stressed that the Company wants to have an open and cooperative
relationship with the official creditors' committees.  With that in mind,
Mr. Kurtz indicated that he, his colleagues and Mr. Stroebel will (i) make
themselves available throughout the weekend to meet with committee members
and their professionals and (ii) provide each committee member with their
home telephone numbers.

Addressing issues concerning the company's liquidity, Mr. Kurtz indicated
that operating cash flow provides ample funding for the company's working
capital needs at this time.  The Company has obtained a commitment from
Bank of America for a $500,000,000 debtor-in-possession financing facility,
but there is no emergency need for that financing at this juncture.  

Mr. Kurtz reviewed for creditors the relief granted by Judge Walrath at the
First Day Hearing, referring to the motions and orders as routine.  Mr.
Kurtz advised creditors that the Company is still in the process of
determining which creditors qualify as Critical Vendors and will share in
the $90,000,000 pot available to pay Critical Vendors' prepetition claims.  

"Who should creditors call to inquire about the Critical Vendor Program,"
Karen C. Bifferato, Esq., of Connolly Bove Lodge & Hutz LLP, representing
Exxon, queried?  

"Call me," Mr. Chehi volunteered.  "My office number is 302-651-3000, and
I'll direct you to the appropriate person at Owens Corning."

Ms. Staiano indicated that her office was lobbied for formation of multiple
creditors' committees in these chapter 11 cases.  Recommendations for
multiple committees generally fell along the lines of (i) segregating
commercial creditors of tort claimants and (ii) segregating Owens Corning
creditors from Fibreboard creditors.  

Following a recess to allow Ms. Staiano and her entourage to sort and sift
through the hundreds of statements of willingness to serve on an official
committee submitted to the office of United States Trustee since the
commencement of the Debtors' chapter 11 cases, Mr. Perch announced that the
United States Trustee has concluded that it is appropriate to appoint two
official committees of unsecured creditors in the Debtors' chapter 11
cases:

      (A) a General Unsecured Creditors' Committee; and

      (B) an Asbestos Creditors' Committee.  

Mr. Perch announced that the General Unsecured Creditors' Committee will
have nine seats, and these creditors are appointed to fill those nine seats
to represent the various constituencies in the Debtors' capital structure:

      -- Bank Lenders

           * Barclays Bank PLC
           * Credit Suisse First Boston
           * Chase Manhattan Bank
           * Fleet National Bank

      -- Bondholders

           * Metropolitan Life Insurance Company
           * John Hancock Life Insurance Company
           * Jackson National Life Insurance Company

      -- Trade Creditors

           * Minnesota Mining & Mfg. Co. (3M)
           * Enron Energy Operations, Inc.

Mr. Perch thanked all creditors and their representatives for attending
this organizational meeting and for their willingness to serve on an
official committee.  Mr. Perch directed the committee appointees to
immediately convene their first meeting, introduce themselves to one
another, select a chairperson, decide how to conduct their business and, if
they wished, select professionals to advise and assist them in carrying out
their statutory duties.  

Mr. Kurtz indicated that the Debtors would appreciate the opportunity to
meet with the Creditors' Committee as quickly as possible in order to
provide them with information packages, obtain their consent to
confidentiality agreements that will allow the Company to pass material
non-public information to the Committee, and to discuss the Debtors' plans
to bring these cases to a prompt resolution.

The Asbestos Creditors' Committee will be appointed in short order and the
U.S. Trustee will publish notice of her appointments to that committee, Mr.
Perch advised, drawing the organizational meeting to a close.  


OWENS CORNING: Obtains Authority To Pay Pre-Petition Tax Obligations
--------------------------------------------------------------------
Owens Corning owes various Taxing Authorities for prepetition Sales and Use
Tax obligations.  Pursuant to 11 U.S.C. Sec. 507(a)(8), these claims are
entitled to priority over many other claims against the Debtors' estates.
To confirm a plan of reorganization, 11 U.S.C. Sec. 1129(a)(9)(C) requires
full payment of these Tax Claims. Not paying these Tax Claims would lead
to the Taxing Authorities taking aggressive collection action, the Debtors
believe, and withholding of the payment of the Taxes likely would cause
taxing authorities to take precipitous action, including a marked increase
in state audits and a flurry of lien filings or lift stay motions. Prompt
and regular payment of the Taxes will avoid this unnecessary governmental
action.

Accordingly, by this Motion, the Debtors sought and obtained Judge
Walrath's permission, in their sole discretion, to pay any prepetition tax
claim, without prejudice to their right to contest the amount of tax owed
to any particular Taxing Authority. The Debtors do not provide any
estimates of their pre-petition liabilities on account of Tax-Related
Claims. (Owens-Corning Bankruptcy News, Issue No. 2; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


PAGING NETWORK: Metrocall Objects to Extension of Time to File Schedules
------------------------------------------------------------------------
Metrocall, Inc. objects to PageNet's motion for an order further extending
the debtors' time to file schedules and statements and permanently waiving
the requirement to file schedules and statements.

Metrocall states that the information contained in the schedules of assets
and liabilities is necessary to any determination by the court as to the
confirmability of the proposed plan of reorganization and is not otherwise
set forth in the Disclosure Agreement.

Therefore, Metrocall asks that the relief requested by PageNet should be
denied and Page Net should be required immediately to file and serve its
Schedules and Statements .


PRO AIR: General Motors and DaimlerChrysler Added To Secured Creditors List
---------------------------------------------------------------------------
Two new names are now added to the secured creditors list of Pro Air Inc.'s
Chapter 11 filing, The Detroit News reports. General Motors and
DaimlerChrysler loaned the airline $ 7 million in January prior to the
filing, and hasn't received any dime for payment. The airline filed for
bankruptcy reorganization two days after FAA grounded it. Pro Air filed for
Chapter 11 in Western District of Washington. Honorable Judge Karen A.
Overstreet is handling the case.


QUORUM HEALTH: Moody's Places Debt Ratings on Review for Possible Downgrade
---------------------------------------------------------------------------
Moody's Investors Service placed the debt ratings of Triad Hospitals
Holdings, Inc. under review for possible upgrade and the debt ratings of
Quorum Health Group, Inc. under review for possible downgrade following the
announcement that Triad Hospitals has reached an agreement to acquire
Quorum Health Group.

Ratings on review for possible upgrade:

    * Triad Hospitals Holdings, Inc.:

       a) $390 million Senior Secured Debt, currently rated B1

       b) Senior Subordinated Notes, due 2009, currently rated B3

       c) Senior Implied Issuer Rating, currently rated B1

       d) Senior Unsecured Issuer Rating, currently rated B2

Ratings on review for possible downgrade:

    * Quorum Health Group, Inc.:

       a) $850 million Revolving Credit Facility, due 2002, currently rated
           Ba1

       b) $150 million Senior Subordinated Notes, due 2005, currently rated
           Ba3

       c) Senior Implied Issuer Rating, currently rated Ba1

       d) Senior Unsecured Issuer Rating, currently rated Ba2

Moody's notes that the proposed transaction will create the third largest
hospital management company in the U.S. The Quorum assets will complement
Triad's mid-market operating strategy while the combined company will
benefit from increased geographic diversification. Moody's will review the
structure and financial impact of the acquisition, including the combined
company's opportunity for margin and cash flow improvement, management's
plan for reducing debt and its longer-term strategy for growth.

Triad Hospitals, Inc., based in Dallas, TX, owns and operates 31 acute care
hospitals and 14 ambulatory surgery centers primarily in small and mid-
sized cities throughout the South and Southwestern United States.

Quorum Health Group, Inc., based in Brentwood, TN, owns and operates 22
hospitals and manages 212 hospitals primarily in small and mid-sized cities
throughout the Southeast and Midwestern United States.


ROBERDS, INC.: Ohio Court Extends Exclusive Period through December 16
----------------------------------------------------------------------
The US Bankruptcy Court, Southern District of Ohio, Western Division,
entered an order on September 13, 2000, extends the period in which the
debtor has the exclusive right to file a plan of reorganization is hereby
extended through December 16, 2000 and the period in which the debtor has
the exclusive right to solicit acceptances of a plan of reorganization is
hereby extended through February 14, 2001.


SATURN PUB: Case Summary and 18 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Saturn Pub Corporation
         246 Route 303
         Tappan, New York 10983-2121

Type of Business: Tappan Z Steak & Grill Restaurant

Chapter 11 Petition Date: October 18, 2000

Court: Southern District of New York

Bankruptcy Case No.: 00-14863

Judge: Adlai S. Hardin Jr.

Debtor's Counsel: Raymond Aab, Esq.
                   120 Broadway 29th Floor
                   New York, New York 10271
                   (917) 551-1346

Total Assets: $ 1,315,000
Total Debts : $ 1,300,322

18 Largest Unsecured Creditors:

Christopher Cartaramo                                        $ 120,000

NYS Dept. of Taxation and Finance                             $ 60,076

Eleftherios Teizidas                                          $ 50,000

Melvin Steier & Co. CPA                                       $ 50,000

CMG Vending Enterprises, Inc.                                 $ 45,163

Hyland & Robinson In                                          $ 35,222

L & M Construction                                            $ 26,200

Orange & Rockland Utilities                                   $ 14,612

AA Foods Inc.                                                 $ 13,763

A & J Tantillo Inc.                                           $ 12,807

Sysco Food Svcs.                                              $ 11,829

Equifax Check Services, Inc.                                  $ 11,194

Earl Everett Ferguson Architect                               $ 10,345

Eagle Construction                                             $ 7,500

Consumer Carting Corp.                                         $ 5,283

Fire & Ice Heating & Cooling                                   $ 5,000

Internal Revenue Service                                       $ 5,000

Zemo Leasing Corp.                                             $ 4,708


SERVICE MERCHANDISE: Subleasing Stores To Bed, Bath And Beyond
--------------------------------------------------------------
In continuance of their 2000 Business Plan, which involves changed
merchandise mix and the subleasing of stores, Service Merchandise and its
debtor-affiliates sought and obtained the Court's authority to enter into
agreements to sublease to Bed, Bath & Beyond 31,675 square feet of space at
their Store Number 72 located at Evansville, Indiana and 25,918 square feet
of space at Store Number 229 located at Salem, New Hampshire.

The Debtors expect that rental revenue under the Subleases for the initial
term will exceed $269,000 per year for Store Number 72 and $272,000 per
year for Store Number 229. Bed, Bath & Beyond intends to use the subleased
space as domestic merchandise stores, and will assume possession of the
premises on or before November 15, 2000.

The Debtors advise that Bed, Bath & Beyond is the leading domestics
retailer, with approximately 240 stores located throughout the United
States selling better-quality domestic items such as bed linens, bath
accessories, kitchen items and home furnishings. Over the last two years,
Bed, Bath & Beyond has experienced substantial revenue growth of nearly 35
percent from $1,400,000,000 in 1998 to $1,900,000,000 in 1999.

Based upon the Debtors' review of the applicable documents, the Debtors
believe that leasing is permitted without any third-party consent. The
Debtors tell Judge Paine they are working with their landlords and related
parties to obtain any necessary non-disturbance and attornment agreements.
With respect to alterations or signage, the Debtors believe there's no
complication because the Subleases provide that any alterations or signage
must conform to requirements of local law, any primary lease and documents,
and any alterations other than interior or non-structural alterations are
subject to the Debtors' consent. The Debtors believe that the transaction
represents sound exercise of business judgment, provides for adequate
protection for the parties concerned and is in the best interest of the
Debtors' estates.

The Agreement also provides that:

(1) The Subleases shall be subject and subordinate to Recorded Documents
       and Bed, Bath & Beyond agrees to comply with all of the Recorded
       Documents;

(2) Bed, Bath & Beyond shall cause its work of alterations and improvements
       to be performed in a good and work-manlike manner, in full compliance
       with all applicable codes and the Recorded Documents and in
       accordance with plans and specifications as approved by Debtors and
       any other parties;

(3) Bed, Bath & Beyond shall not make any alterations to the premises
       without the prior written consent of Debtors;

(4) In addition to rental, Bed, Bath & Beyond shall pay its proportionate
       share of taxes, insurance, utilities, common area maintenance and
       operating costs of the premises;

(5) In the event Bed, Bath & Beyond fails to operate a retail business
       for more than 180 consecutive days, the Debtors shall have the right
       to recapture the premises;

(6) Bed, Bath & Beyond may assign or sublet the premises only upon the
       prior written consent of Debtors, but shall have the right to assign
       or sublet the premises without Debtor's prior consent to any entity
       that (a) is under common control with Bed, Bath & Beyond, (b)
       purchases all or substantially all of the assets of Bed, Bath &
       Beyond or 10 or more of Bed, Bath & Beyond's stores and continues to
       use the premises for the same purposes as under the Subleases;

(7) Bed, Bath & Beyond shall have the right to terminate the Subleases in
       the event (a) 50% or more of the premises shall be taken by
       condemnation, (b) the availability parking spaces are reduced below
       that required by local law and (c) ingress and egress are diminished.

(Service Merchandise Bankruptcy News, Issue No. 13; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


SUNTERRA CORP: PPM Ventures Submits $75M Offer for European Unit
----------------------------------------------------------------
Sunterra Corp. (STERE) has received a non-binding $75 million offer for its
wholly owned, nonbankrupt Sunterra Europe (Group Holdings) PLC unit, which
does business as the Grand Vacation Club in the European vacation ownership
market. The offer was submitted by the venture capital investment group PPM
Ventures, which submitted what Sunterra determined to be the highest and
best of four non-binding letters of intent received for the unit. In
connection with the offer, Sunterra, a Orlando, Fla.-based timeshare
company, has sought bankruptcy court approval both to procedures through
which parties can submit competing offers for the unit and ultimately, to
sell the unit to the highest and best bidder. Judge James F. Schneider of
the U.S. Bankruptcy Court in Baltimore has continued the hearing on the bid
procedures to Oct. 26, according to Joel Sher of Shapiro Sher & Guinot,
counsel for the company's official unsecured creditors' committee. (ABI,
19-Oct-00)


TEU HOLDINGS: Creditors' Committee Taps Brown & Wood as Counsel
---------------------------------------------------------------
The Official Committee of Unsecured Creditors of TEU Holdings, Inc., et al.
seeks court approval of its application to employ Brown & Wood as counsel,
substituting for the firm of Whitman Breed Abbott & Morgan LLP due to the
fact that Attorney Norman N. Kinel joined the firm of Brown & Wood LLP..

The firm will advise the Committee and represent it with respect to
proposals and pleadings submitted by the debtors or others to the court or
the Committee; representing the Committee with respect to any plans of
reorganization or disposition of assets proposed in these cases; attending
hearings, drafting pleadings and generally advocating positions which
further the interests of the creditors represented by the Committee;
assisting in the examination of the debtors' affairs and review of the
debtors' operations; investigating any potential causes of action which the
debtors or the Committee may bring against any third-party; advising the
Committee as to the progress of the Chapter 11 proceedings; and performing
such other professional services as are in the interests of those
represented by the Committee, including, without limitation, those set
forth in Bankruptcy Code Section 1103(c).

The firm's hourly rates currently range from $80-$150 for paralegals, from
$275 to $395 for associates, from $300 to $345 for counsel and from $400 to
$600 for members.


VIDEO UPDATE: Rental Chain Considers Selling Off 119 Retail Stores
------------------------------------------------------------------
The St. Paul-based video retailer which recently retained Keen Realty LLC
to conduct its auction, could shut down a fifth of its 586 stores, the
Tribune Business News reports. "For the most part, they are not good video
store locations," said Dan Potter, Video Update's chief executive. Potter
nor Keen has divulge any information on the 119 stores to be sold off.
"They're still tinkering with the list," said Chris Mahoney, a Keen Realty
representative, based in Great Neck, N.Y. The video retailer filed for
bankruptcy protection in Delaware last month. "We will definitely come out
of Chapter 11," Potter added. "My goal is to get out of it as quickly as
possible."


WASTE MANAGEMENT: Signs Cooperative Research & Development Pact With EPA
------------------------------------------------------------------------
Waste Management Inc. (NYSE:WMI) announced that it has signed a Cooperative
Research and Development Agreement with the U.S. Environmental Protection
Agency (EPA) to research and develop landfill bioreactor and biocover
projects.

Under the agreement, various bioreactor and biocover techniques will be
studied to determine the efficiency of landfill bioreactor technology and
of air emissions reduction in biological landfill covers.

Phase I of the five-year agreement begins with projects at Waste
Management's Outer Loop Recycling and Disposal Facility in Louisville, Ky.
Waste Management expects to add more projects over the term of the
agreement.

"We believe there are significant environmental and economic benefits to be
gained by making technical and operational changes that impact a landfill's
performance," said A. Maurice Myers, chairman and CEO of Waste Management.
"We see the potential to transform landfills from waste repositories to
waste treatment systems."

"The results of this joint research effort will give us a better
understanding of landfill dynamics," said Elizabeth Cotsworth, director of
the Office of Solid Waste for the EPA. "We think this project has the
potential to provide data that could result in more flexibility for
landfill owners and operators and better waste management practices."

Bioreactor technology accelerates the biological decomposition of food,
paper and other organic wastes in a landfill by significantly increasing
the moisture content in a landfill. The liquids create optimum conditions
for the microorganisms to rapidly degrade the solid waste. By using these
techniques, airspace in a typical landfill can be increased by at least 15
to 30 percent, decreasing the need for new landfills, and the waste body
can achieve environmental stability in a shorter time frame.

The biocover process at Outer Loop will use composted yard wastes to cover
the landfill. Organisms in the compost will then degrade the greenhouse
gases associated with the degradation of municipal solid waste, therefore
substantially lowering the emissions of the gases into the atmosphere.
Waste Management Inc. is its industry's leading provider of comprehensive
waste management services. Based in Houston, the Company serves municipal,
commercial, industrial and residential customers throughout North America.


WEBVAN GROUP: Online Retailer in California In a Financial Squeeze
------------------------------------------------------------------
Webvan Group Inc., the Foster City, California, on-line grocery retailer,
is struggling to show a profit at a time when dotcom investors are becoming
increasingly impatient with technology firms. Webvan, which since starting
up four years ago has piled up losses of more than $290 million, has been
trying to cut costs, recently laying off fifty employees and delaying plans
to enlarge four of its distribution centers on the East Coast. The company
may also resort to further layoffs as a result of its merger with
HomeGrocer.com Inc. of Kirkland, Wa. Webvan does still have $550 million in
cash and assets that should keep it operating through next year, but at
least one industry analyst has expressed doubt that Webvan will end up the
giant in the online-grocery industry. For a free copy of an article about
Webvan call 800-407-9044. (New Generation Research, Inc., 19-Oct-00)


* Bond pricing for the week of October 23, 2000
----------------------------------------------
Data is supplied by DLS Capital Partners, Inc. Following are indicated
prices for selected issues:

AMC Ent 9 1/2 '11                          42 - 44
Amresco 9 7/8 '05                          50 - 53
Advantica 11 1/4 '08                       54 - 56
Asia Pulp & Paper 11 3/4 '05               46 - 48
Carmike Cinema 9 3/8 '09                   26 - 28 (f)
Conseco 9 '06                              65 - 67
Fruit of the Loom 6 1/2 '03                50 - 53 (f)
Federal Mogul 7 1/2 '04                    28 - 31
Genesis Health 9 3/4 '05                    6 - 8 (f)
Globalstar 11 1/4 '04                      27 - 29
Loewen 7.20 '03                            38 - 42 (f)
Oakwood Homes 7 7/8 '04                    35 - 38
Owens Corning 7 1/2 '05                    27 - 29 (f)
Paging Network 10 1/8 '07                  24 - 27 (f)
Pillowtex 10 '06                           15 - 17
Revlon 8 5/8 '08                           58 - 59
Saks 7 '04                                 60 - 62
Trump Atlantic 11 1/4 '06                  69 - 72
TWA 11 3/8 '06                             36 - 38


                                *********


Bond pricing, appearing in each Monday's edition of the TCR, is provided by
DLS Capital Partners in Dallas, Texas.

A list of Meetings, Conferences and Seminars appears in each Wednesday's
edition of the TCR. Submissions about insolvency-related conferences are
encouraged. Send announcements to conferences@bankrupt.com.

Each Friday's edition of the TCR includes a review about a book of interest
to troubled company professionals. All titles available from Amazon.com --
go to http://www.amazon.com/exec/obidos/ASIN/189312214X/internetbankrupt--  
or through your local bookstore.

For copies of court documents filed in the District of Delaware, please
contact Vito at Parcels, Inc., at 302-658-9911. For bankruptcy documents
filed in cases pending outside the District of Delaware, contact Ken Troubh
at Nationwide Research & Consulting at 207/791-2852.


                               *********

S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter is a daily newsletter, co-published by Bankruptcy
Creditors' Service, Inc., Trenton, NJ, and Beard Group, Inc., Washington,
DC. Debra Brennan, Yvonne L. Metzler, Ronald Ladia, Zenar Andal, and Grace
Samson, Editors.

Copyright 2000. All rights reserved. ISSN 1520-9474.

This material is copyrighted and any commercial use, resale or publication
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                     * * * End of Transmission * * *